The case illustrates the effects of the Asian currency crisis on a diversified Thai conglomerate, the Champaca group. It describes the efforts of its founder, an ethnic Chinese entrepreneur, to save his group by restructuring his debts and, in a culture where western-style downsizing is not acceptable, find a way of cutting his workforce.
The case illustrates the different approach towards HRM issues adopted by Asian companies when faced with serious financial problems. In particular, it highlights the constraints that Asian cultural values place on any attempt to impose western solutions, such as downsizing, in these circumstances, and how long- term considerations remain important in any strategic decisions taken.
- ECONOMIC CRISIS
- THAI CULTURE
- BAHT DEPRECIATION
- DEBT RESTRUCTURING